Note 14 - Stockholders' Equity

9 Months Ended

Feb. 25, 2024

Notes to Financial Statements

Equity [Text Block]

14. STOCKHOLDERS' EQUITY

The following table presents a reconciliation of our stockholders' equity accounts for the thirty-nine weeks ended February 25, 2024:

	Conagra Brands, Inc. Stockholders' Equity
	Common Shares		Common Stock		Additional Paid-in Capital			Retained Earnings			Accumulated Other Comprehensive Loss			Treasury Stock			Noncontrolling Interests			Total Equity
Balance at May 28, 2023		584.2	$	2,921.2	$	2,376.9		$	6,599.4		$	(44.4	)	$	(3,116.3	)	$	70.5		$	8,807.3
Stock option and incentive plans						(42.9	)		1.1						25.6						(16.2	)
Currency translation adjustments												10.7						(0.1	)		10.6
Derivative adjustments												1.6									1.6
Activities of noncontrolling interests																		0.2			0.2
Pension and postretirement healthcare benefits												(0.8	)								(0.8	)
Dividends declared on common stock; $0.35 per share									(167.3	)											(167.3	)
Net income attributable to Conagra Brands, Inc.									319.7												319.7
Balance at August 27, 2023		584.2	$	2,921.2	$	2,334.0		$	6,752.9		$	(32.9	)	$	(3,090.7	)	$	70.6		$	8,955.1
Stock option and incentive plans						5.6			(0.4	)					1.1			0.3			6.6
Currency translation adjustments												(5.6	)					(0.7	)		(6.3	)
Derivative adjustments												0.8									0.8
Pension and postretirement healthcare benefits												(1.0	)								(1.0	)
Dividends declared on common stock; $0.35 per share									(167.2	)											(167.2	)
Net income attributable to Conagra Brands, Inc.									286.2												286.2
Balance at November 26, 2023		584.2	$	2,921.2	$	2,339.6		$	6,871.5		$	(38.7	)	$	(3,089.6	)	$	70.2		$	9,074.2
Stock option and incentive plans						14.1			(1.0	)					1.7						14.8
Currency translation adjustments												4.6						0.2			4.8
Derivative adjustments												(4.1	)								(4.1	)
Activities of noncontrolling interests																		0.2			0.2
Pension and postretirement healthcare benefits												(5.6	)								(5.6	)
Dividends declared on common stock; $0.35 per share									(167.4	)											(167.4	)
Net income attributable to Conagra Brands, Inc.									308.6												308.6
Balance at February 25, 2024		584.2	$	2,921.2	$	2,353.7		$	7,011.7		$	(43.8	)	$	(3,087.9	)	$	70.6		$	9,225.5

The following table presents a reconciliation of our stockholders' equity accounts for the thirty-nine weeks ended February 26, 2023:

	Conagra Brands, Inc. Stockholders' Equity
	Common Shares		Common Stock		Additional Paid-in Capital			Retained Earnings			Accumulated Other Comprehensive Loss			Treasury Stock			Noncontrolling Interests			Total Equity
Balance at May 29, 2022		584.2	$	2,921.2	$	2,324.6		$	6,550.7		$	(11.2	)	$	(2,997.6	)	$	74.5		$	8,862.2
Stock option and incentive plans						(1.6	)		0.2						16.3						14.9
Currency translation adjustments												(11.5	)					(2.1	)		(13.6	)
Repurchase of common shares															(50.0	)					(50.0	)
Derivative adjustments												(2.1	)								(2.1	)
Pension and postretirement healthcare benefits												1.4									1.4
Dividends declared on common stock; $0.33 per share									(158.6	)											(158.6	)
Net loss attributable to Conagra Brands, Inc.									(77.5	)											(77.5	)
Balance at August 28, 2022		584.2	$	2,921.2	$	2,323.0		$	6,314.8		$	(23.4	)	$	(3,031.3	)	$	72.4		$	8,576.7
Stock option and incentive plans						37.9			(2.4	)					3.6			0.5			39.6
Currency translation adjustments												(6.5	)					(1.7	)		(8.2	)
Repurchase of common shares															(100.0	)					(100.0	)
Derivative adjustments												6.6									6.6
Activities of noncontrolling interests																		0.3			0.3
Pension and postretirement healthcare benefits												(1.3	)					(0.1	)		(1.4	)
Dividends declared on common stock; $0.33 per share									(157.8	)											(157.8	)
Net income attributable to Conagra Brands, Inc.									381.9												381.9
Balance at November 27, 2022		584.2	$	2,921.2	$	2,360.9		$	6,536.5		$	(24.6	)	$	(3,127.7	)	$	71.4		$	8,737.7
Stock option and incentive plans						7.3			(0.8	)					8.2			1.5			16.2
Currency translation adjustments												5.8						(1.5	)		4.3
Derivative adjustments												(3.9	)								(3.9	)
Activities of noncontrolling interests																		0.5			0.5
Pension and postretirement healthcare benefits												(0.8	)								(0.8	)
Dividends declared on common stock; $0.33 per share									(157.4	)											(157.4	)
Net income attributable to Conagra Brands, Inc.									341.7												341.7
Balance at February 26, 2023		584.2	$	2,921.2	$	2,368.2		$	6,720.0		$	(23.5	)	$	(3,119.5	)	$	71.9		$	8,938.3

The following table details the accumulated balances for each component of other comprehensive loss, net of tax:

	February 25, 2024			May 28, 2023
Currency translation losses, net of reclassification adjustments	$	(90.0	)	$	(99.7	)
Derivative adjustments, net of reclassification adjustments		27.5			29.2
Pension and postretirement benefit obligations, net of reclassification adjustments		18.7			26.1
Accumulated other comprehensive loss	$	(43.8	)	$	(44.4	)

The following tables summarize the reclassifications from accumulated other comprehensive income (loss) into income:

	Thirteen Weeks Ended						Affected Line Item in the Condensed Consolidated Statement of Earnings1
	February 25, 2024			February 26, 2023
Net derivative adjustments:
Cash flow hedges	$	(0.9	)	$	(0.9	)	Interest expense, net
Cash flow hedges		(1.2	)		(0.7	)	Equity method investment earnings
		(2.1	)		(1.6	)	Total before tax
		0.5			0.4		Income tax expense
	$	(1.6	)	$	(1.2	)	Net of tax
Pension and postretirement liabilities:
Pension settlement	$	1.1		$	—		Pension and postretirement non-service income
Net actuarial gain		(1.2	)		(1.1	)	Pension and postretirement non-service income
		(0.1	)		(1.1	)	Total before tax
		—			0.3		Income tax expense
	$	(0.1	)	$	(0.8	)	Net of tax

	Thirty-Nine Weeks Ended						Affected Line Item in the Condensed Consolidated Statement of Earnings1
	February 25, 2024			February 26, 2023
Net derivative adjustments:
Cash flow hedges	$	(2.7	)	$	(2.5	)	Interest expense, net
Cash flow hedges		(3.5	)		(0.7	)	Equity method investment earnings
		(6.2	)		(3.2	)	Total before tax
		1.5			0.9		Income tax expense
	$	(4.7	)	$	(2.3	)	Net of tax
Pension and postretirement liabilities:
Net prior service cost	$	—		$	(0.1	)	Pension and postretirement non-service income
Pension settlement		1.1			—		Pension and postretirement non-service income
Net actuarial gain		(3.6	)		(3.3	)	Pension and postretirement non-service income
		(2.5	)		(3.4	)	Total before tax
		0.6			1.0		Income tax expense
	$	(1.9	)	$	(2.4	)	Net of tax

¹Amounts in parentheses indicate income recognized in the Condensed Consolidated Statements of Earnings.